Managing The Products Life Cycle

3267 Words Mar 12th, 2015 14 Pages
A business is classified as being one’s profession or occupation. Whilst running or contributing to a business you require objectives and goals to help direct, control and review the success of business performance (1). Lack of business goals or revenue goals can be consequential for the business, as it means no set plans for what you want to achieve which is a necessity whilst running a business. The main goals of a business normally consist of growth, managing the product life cycle, and sales and profits, business. Business growth is normally determined by number of sales or value of output, this leads to the encouragement or discouragement to expand a business as well as enhancing its competitiveness in the business industry (2). Managing the products life cycle mainly consists of four phases, which are:
• Introduction-Raising awareness of the new product to attract future customers i.e. through advertisement and promoting.
• Growth- this consists of expanding the product i.e. adding new flavours or different sizes.
• Maturity- Product is at it’s peak, advertising may be lower than when product was first advertised. Growth slows down but the demand for the product is still high.
• Decline- Product sales start to drop due to issues such as consumer preference of product has changed or technological advancement. (20)
Sales are made from such things as advertising, as advertising attracts more customers to buy your product therefore leads to an increase in profits, which…

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